Home » Search

Search

Search results

PDF Ebook Option Trading and Oil Futures Markets

The establishment, of a very successTu1 crude oil futures market by the New ... agents to hedge against short-term price risks. The NYMEX is also a reading mechanism ior oil price discovery in the short term. ... first step of a process that may ultimately provide the world petroleum market with instruments enabling participants to hedge against ...

Story - antoq - 10/18/2010 - 13:46 - 155 comments - 0 attachments

PDF Ebook Nokia E65 User Guide

You can install Nokia PC Suite from the CD-ROM or from the Web. Nokia PC Suite can be used only with Windows 2000 ... right away ~ ~ when we can lweve for decades wen thwes world when, galaxysahandbags , wen fact, Balenciaga Bags , very short very ...

Story - antoq - 12/11/2010 - 06:03 - 1 comment - 0 attachments

Ebook An Empirical Examination of the Governance Choices of Income Trusts

... terms of a (metaphorical) contract between stakeholders in the corporation. In particular, it supplies terms that govern significant ... Handbags when we can lweve for decades wen thwes world when, wen fact, cheap designer bags , very short very short. we do not ...

Story - puput - 12/15/2010 - 02:35 - 1 comment - 0 attachments

Ebook Debt Deflation and Bank Recapitalization

... a banking crisis , subsequent debt deflation, and the policy responses to the crisis in a model where fi at currency is introduced and contracts are made in nominal terms. In the recent ... expostpolicy responses to financial crises. The world has experienceda large number of banking crises in the last three ...

Story - puput - 09/26/2011 - 04:51 - 0 comments - 0 attachments

Ebook Portfolio Choice with Capital Gain Taxation and the Limited Use of Losses

... asset allocation decisions . In this paper, we study the implications of a real world feature of most tax codes on portfolio choice with multiple stocks: that ...

Story - puput - 06/04/2011 - 04:01 - 0 comments - 0 attachments

Ebook Rising Inequality in the New Global Economy by Nancy Birdsall

The world is becoming ‘flat’says Thomas Friedman, a New York Times columnist , in ...

Story - antoq - 10/02/2010 - 02:23 - 0 comments - 0 attachments

Ebook The Role of Simultaneous Regulations of Credit Services and Payment Services on Competition

The surge in credit card transactions and credit card debt, the high levels ... issues for both researchers and policy makers all over the world. Turkey is not an exception in this respect. In ten years, the number of credit cards ...

Story - puput - 11/03/2010 - 07:07 - 10 comments - 0 attachments

PDF Ebook One More Time: Herzberg’s Theory of Work Motivation

This paper examines some of the possible reasons why the theory of work motivation (the ... something vigorous when we can live for decades in this world when, LV Purses , in fact, Louis vuitton handbags , very short very ... do not see what the world upside down. The biggest change is that we read the calendar day by day with the old. must has earned a ...

Story - antoq - 12/10/2010 - 07:23 - 1 comment - 0 attachments

Ebook Economic Shock, Owner-Manager Incentives, and Corporate Restructuring: Evidence from the Financial Crisis in Korea

Market-wide shocks in the economy , such as the U.S. financial crisis during the Great Depression ... measures during these different economic environments is limited. In particular, although there is extensive literature on the ... right away ~ ~ when we can lweve for decades wen thwes world when, chanel replicas handbags , wen fact, cheap gucci , very short ...

Story - puput - 12/10/2010 - 04:35 - 1 comment - 0 attachments

Ebook The Role of Market Makers in Electronic Markets: Liquidity Providers on Euronext Paris

... trading systems (ETSs) spread relentlessly across the globe (to Tokyo in 1982, Paris in 1986, Australia in 1990, Germany and ... the onslaught has swept aside many of the hallmarks of the world’s leading stock exchanges . The dealer agency system at NASDAQ, for ...

Story - puput - 11/03/2010 - 08:48 - 0 comments - 0 attachments


Ebook Earnings Quality and Information Asymmetry

Submitted by puput on Wed, 03/24/2010 - 01:49

A fundamental role of accounting information in financial markets is to serve as a basis for capital allocation. As a result, the determinants and consequences of the quality of accounting information are of interest to investors, managers, regulators and standard setters. Arthur Levitt, former Chairman of the Securities and Exchange Commission (SEC), has remarked that “an important benefit of high quality accounting standards is improved liquidity and lower cost of capital.” This issue has acquired even greater prominence in recent times as increased information asymmetry due to lack of financial reporting transparency likely contributed to the near break-down in the interbank lending market in 2008. Dechow and Schrand (2004) call for academic research to better understand the costs and consequences of poor quality earnings. Although, a handful of recent papers have investigated the adverse consequences of poor earnings quality, the evidence remains controversial and incomplete. In this study, we investigate the relation between earnings quality and the information asymmetry among market participants during earnings announcement and non-announcement periods.

There is a significant debate in the theoretical literature on how earnings quality may affect asset prices. Various analytical models suggest different paths through which earnings quality might affect a firm’s cost of capital. Figure 1 illustrates these possible links. In the model proposed by Lambert, Leuz and Verrecchia (2007a), earnings quality affects a firm’s cost of capital via its impact on the firm’s CAPM beta as accounting information has a direct effect on the assessed covariance of a firm’s cash flows with cash flows of other firms in the economy (Linkage 1). By contrast, Easley and O’Hara (2004) propose a framework in which information asymmetry induced by poor earnings quality may give rise to a non-diversifiable “information risk,” as less informed investors are always at a disadvantage relative to informed investors in adjusting their portfolio weights (Linkage 2). Consequently, investors would expect higher returns from a firm with high information asymmetry.

»

Posted in :

Ebook Hazardous Times for Monetary Policy: What Do Twenty-Three Million Bank Loans Say About the Effects of Monetary Policy on Credit Risk?

Submitted by puput on Sat, 06/05/2010 - 03:48

The summer of 2007 was hot for financial markets and central banks. Troubles in the credit markets negatively affected banks, liquidity evaporated in the interbank markets and central banks intervened on a scale not often seen before. Many market observers immediately argued that during the long period of low interest rates, stretching from 2001 to 2005, banks softened their lending standards and loaded up on excess risk. During the crisis many market participants, nevertheless, clamoured for central banks to reduce the interest rates again to alleviate their financial predicament.

Hazardous times for monetary policy indeed: on the one hand, low interest rates may create excessive risk-taking; on the other hand, low interest rates may reduce the risk of outstanding bank credit. In this paper we provide the first hard evidence on this treacherous dilemma by answering the following questions: Do low interest rates encourage bank risk-taking, but at the same time reduce credit risk on outstanding loans? What is the impact of the stance and path of monetary policy on credit risk? And, do monetary and output changes have a similar effect on bank risk?

»

Posted in :

A Comparison of Option Pricing Models Between General Equilibrium and No Arbitrage Method

Submitted by puput on Sat, 04/23/2011 - 02:50

Since the volatility smile had been found in the real financial market, many literatures attempted to better explain and predict the behavior of option prices across moneyness and maturity. Merton (1976) assumes that the stock return is discontinuous and has a diffusion-jump process instead of the geometric brownian motion. Heston (1993) relax the assumption of constant volatility and assume that the volatility it self follows a square root process. Bates (1996, 2000) and Bakshi et al. (1997, 2000) incorporate both stochastic volatility and Poisson jump, and find a better fitting for the real empirical data.

»

Posted in :